Arizona School Tax Credits impact education
Under Arizona law, a state tax credit is available for contributions to support extracurricular activities in public schools.
Best of all, the Arizona School Tax Credit allows YOU to CHOOSE where you want your tax money to go!
You can designate both the school and the activity; you can even split your contribution between different schools and programs. Can't decide? If you designate a school, but no program, you allow the school to send the funds to the programs that are most in need of support.
Arizona School Tax Credits can be used by ALL Arizona State taxpayers, even if you do not have a child in school.
Arizona allows an individual taxpayer to contribute a maximum of $200, and a married couple filing jointly to contribute a maximum of $400 to a public school of their choice and get credit against their tax liability in the form of a dollar-for-dollar credit. As a result, if you owe money on taxes, that amount is decreased by the TOTAL amount of the tax credit donation; and if you have a refund due to you, that refund will be increased by the amount of your donation. (Note: tax liability cannot go below $0.00)
A tax credit is different from a deductible donation because you may subtract the entire contribution from your Arizona state tax bill.
If your AZ School Tax Credit donation does not directly benefit your dependent, you may also be able to claim the donation as a deduction on your Federal income tax! (Be sure to consult your accountant or tax specialist for details.)
Can I designate that my tax credit contribution be used to benefit a particular student?
We encourage parents to tap this resource to help manage the expense of education! The student must be named when the contribution is made. Donations are non-refundable; however, if a fee is paid and, for whatever reason the student is unable to participate, the donation can be switched to another activity.
What do schools use the money for?
Generally, any optional, non-credit, educational or recreational activities that supplement the education program of the school are considered to be extracurricular and eligible for tax credit funding. Some of the areas included are:
- Sports
- Washington DC Trip
- Elementary Show Choir
- Junior HIgh Field Games
How do I make my contribution?
1) It's your tax money! What do you want it to support? For once, you can smile and tell the government how to spend your tax dollars! Pick a school or schools; if you wish, you may divide your contribution between schools and/or programs.
2) Decide how much to donate and when. The maximum is $200 annually per tax payer or $400 annually if you are married, filing jointly. If you do not want to do that much you don't have to! If you want to contribute in smaller amounts throughout the year, you can donate multiple times to total the maximum allowable amount.
3) Payment of Tax Credit:
To contribute via check:
Complete the printable Tax Credit Donation Form and:
- Mail to: LUSD #9 - Tax Credit
PO Box 730, Beaver Dam, AZ 86432
or
- Take to: LUSD #9 District Office
4) No matter how you choose to donate, the LUSD #9 District Office will mail you a receipt to file with your Arizona state tax return.